Oppenheimer Downgrades Radware (RDWR)

Oppenheimer & Co. is downgrading shares of Radware Ltd. (NASDAQ: RDWR) to Perform and removing its $30 price target, as it believes shares are overextended.

In the research note, Oppenheimer writes, "We are downgrading Radware to Perform from Outperform and removing our $30 PT. M&A speculation aside, we believe Radware's shares at current levels are overextended and we're stepping to the sidelines. While Radware could be a takeover target, we have no visibility on whether the recent speculation will materialize. No announcement has been made by management, and rather than relying on guesswork, we focus on Radware's fundamentals. We're not seeing a slowdown in Radware's business, and its strong growth drivers remain intact. With that said, Radware's shares have appreciated significantly, and we think investors should opt to take the more conservative route and lock in gains. We would revisit Radware at a more attractive entry point."

Shares of Radware are down 90 cents in early Monday trading to $33.80, a loss of 2.6%.